One of the initiators behind the creation of the parliamentary investigative commission on the rising costs of Riga’s district heating, MP Andris Kulbergs (United List), disagrees with the Progressives’ claim that the commission’s work could be carried out within the existing Saeima committees without spending additional funds.
In an interview with TV3’s “900 Seconds,” Kulbergs emphasized that the Progressives control the Saeima Committee on National Economy, Agrarian, Environmental and Regional Policy, the Riga City Council, and the Subcommittee on Environment, Climate and Energy. “So why did they take no action to actually change the situation?” he asked, stressing that he has been raising this issue since 2022.
When asked whether the work of the new parliamentary investigative commission could be handled by the existing Saeima committees if the relevant committees were not controlled by the Progressives, Kulbergs replied that he had already begun addressing this issue when he chaired the Subcommittee on Environment, Climate and Energy. However, after the change of government and the transition of the United List into opposition, he lost the position of subcommittee chair, and the matter stalled.
“That committee turned into a megaphone for green organizations, and we no longer discussed energy. In such circumstances, it was impossible to reach a solution. All summer I tried to address this issue outside the parliamentary investigative commission. The investigative commission is not an end in itself,” Kulbergs emphasized.
He explained that
many parties are involved in resolving the rise in Riga’s heating costs,
and issues are being “kicked around” from one institution to another. Therefore, “it is clear that this matter is far broader than something that can be resolved solely within the Riga City Council or a single Saeima committee.”
As reported, the Saeima last week established a Parliamentary Investigative Commission to examine the causes of rising heating costs in Riga’s centralized heating system and the associated future risks to energy security.
This week, the Progressives stated that the commission’s work could be performed by existing Saeima committees without incurring additional expenses.
The Progressives argue that
creating the investigative commission does not justify the extra costs required for its operation,
as it essentially duplicates work that can already be done within existing committees and subcommittees at no additional cost. “The creation of this commission is clearly an attempt by certain opposition politicians to obtain a taxpayer-funded pre-election platform,” the party claimed.
As previously reported by LETA, in initiating the creation of the investigative commission, MPs pointed to possible problems related to the operation of Latvenergo’s combined heat and power (CHP) plants and the governance of AS Rīgas siltums, arguing that public investments in these structures have not resulted in the expected efficiency and sustainability.
One of the main criticisms concerns practices where heat generated by CHP plants is released into the atmosphere instead of being used for district heating, while more expensive heat is being purchased from private suppliers. “This not only creates unnecessary costs but also doubles environmental pollution, violating both national and EU regulations,” the commission’s initiators argue. MPs express concerns about inefficient management, possible misuse of public funds, and insufficient oversight in the energy sector.
The decision creating the commission states that
within six months it must evaluate various issues,
including the efficiency of heat procurement, the use of residual heat, environmental impacts, the justification of state support, the quality of governance, and the selection procedures for board and council members at Rīgas siltums and Latvenergo.
The commission must determine whether systematic shortcomings exist that drive up costs and endanger energy security in the future, according to the decision establishing the investigative commission.
It has already been reported that Rīgas siltums’ plans to raise heating tariffs this autumn drew criticism.
The initial tariff submitted to the regulator, including an unforeseen expense component of €2.05 per megawatt-hour (MWh), envisaged a 21.5% increase — up to €90.15 per MWh. However, after reassessment, the heating tariff for Rīgas siltums increased by 11.9% from 1 October this year, reaching €83.01 per MWh.
To ensure transparent and economically justified heating prices for Riga’s residents,
the New Unity (JV) parliamentary faction has prepared amendments to the Energy Law
to introduce regulated tariffs for independent heat producers in Riga.
The bill responds to the situation in Riga’s heating market, where in certain periods without competition, heating prices have risen significantly, allowing some companies to earn very high profits.
Under the new regulation, an independent heat producer supplying more than two million megawatt-hours of heat to a major district heating system operator, such as Rīgas siltums, may not sell heat at a price exceeding the tariff set by the Public Utilities Commission (SPRK).
If by 31 August 2026 a company has not been assigned a tariff, it will lose the right to participate in heat procurement until the tariff is approved. Tariff development and approval will be handled by SPRK.
According to the JV faction, in 2024 the profit margins of independent heat producers supplying Rīgas siltums reached significant levels — several companies exceeded 15% profitability, and some nearly 30%.
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